McGraw-Hill's Taxation of Individuals and Business Entities 3rd Edition by Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver

Exercise 48

Kimberly is divorced and the custodial parent of five-year-old twins, Bailey and Cameron.All three live with Kimberly's parents, who pay all the costs of maintaining the household (such as mortgage, property taxes, and food).Kimberly pays for the children's clothing, entertainment, and health-insurance costs.These costs comprised only a small part of the total costs of maintaining the household.a.Determine the appropriate filing status for Kimberly.What if Kimberly lived in her own home and provided all the costs of maintaining the household?